DRESHER, PA — Ascensus, a leading provider of administrative services for savings plans, recently announced a definitive agreement to acquire Mutual of Omaha’s 401(k) recordkeeping business. This acquisition marks a pivotal expansion for Ascensus, further solidifying its position as a key player in the retirement planning industry.
For over two decades, Ascensus and Mutual of Omaha have maintained a collaborative partnership, aimed at assisting savers in achieving their retirement objectives. Ascensus has notably served as an outsourced partner, delivering comprehensive recordkeeping services, digital solutions for plan sponsors, third-party administrators, advisors, and participant services for the business segment it is now set to acquire.
Under the terms of this transaction, Ascensus will take on full responsibility for the recordkeeping operations, which currently supports over 2,300 retirement plans, benefits 65,000 savers, and oversees more than $3.9 billion in assets under administration. While the financial details of the deal remain undisclosed, the strategic implications are clear, indicating a win-win for both entities involved.
This acquisition is particularly noteworthy for plan sponsors and participants, who can expect a seamless transition. Given that participants already interface with their accounts through the Ascensus portal and receive comprehensive account processing and servicing, there will be no disruption to the web or service experiences. Moreover, participants stand to gain from complimentary access to Financial Finesse Essentials, virtual coaching, and planning tools provided by Ascensus, alongside the promise of continued investments in cutting-edge technology platforms and improved user experiences.
Nick Good, President of Ascensus, expressed honor in taking forward the legacy of Mutual of Omaha’s retirement savings business. “Our clients and plan participants can anticipate a smooth transition and access to an enhanced suite of solutions and capabilities,” Good stated, reflecting confidence in the acquisition’s ability to enrich the service offering.
On the other side of the transaction, Mutual of Omaha’s Executive Vice President Stacy Scholtz conveyed the decision as a strategic move, prioritizing customer interest and the continuity of service excellence. “We anticipate a smooth transition for our customers and a continuation of the service they have come to expect,” Scholtz remarked, highlighting the thorough strategic review that led to this decision.
This acquisition not only represents a strategic expansion for Ascensus but also signals a broader trend within the retirement services industry toward consolidation and specialization. As companies seek to navigate the complexities of retirement planning and administration, partnerships and acquisitions become essential strategies for enhancing service offerings, leveraging technological advancements, and ultimately, providing savers with robust tools and resources to secure their financial futures.
For industry watchers, this transaction between Ascensus and Mutual of Omaha offers a glimpse into the evolving landscape of retirement services, where innovation, customer experience, and strategic growth continue to drive change and opportunity.
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